Approved Agreements and Contracts 2025/01/28 Commercial Redevelopment District Lakeshore Hotel Partners 181 Viridian Drive

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                                                CITY OF


                                   a wg MUSKEGON
                             Agenda Item Review Form
                            Muskegon City Commission

Commission Meeting Date: January 28, 2025             Title: Public Hearing Establishment of a
                                                      Commercial Redevelopment District- Lakeshore
                                                      Hotel Partners, LLC, 181 Viridian Drive

Submitted by: Contessa Alexander, Development | Department: Economic Development
Analyst


Brief Summary:
Lakeshore Hotel Partners, LLC has formally requested the establishment of a Commercial
Redevelopment District and Certificate for 181 Viridian Drive on December 9, 2024. This designation
will enable the property owner to apply for a Commercial Facilities Exemption Certificate, which
freezes the building's taxable value and exempts new investments from local taxes.

Detailed Summary & Background:
Lakeshore Hotel Partners, LLC has formally requested the establishment of a Commercial
Redevelopment District and Certificate for 181 Viridian Drive on December 9, 2024. This designation
will enable the property owner to apply for a Commercial Facilities Exemption Certificate, which
freezes the building's taxable value and exempts new investments from local taxes.


The proposed project involves the development of the Element Hotel by Marriott, part of the broader
Harbor 31 Redevelopment Plan. Key details of the hotel project include:

     e Size & Scope: A 5-story building featuring 132 rooms.
     e Amenities: A full-service restaurant, fitness center, and indoor pool.
     e Location: Situated along the Lakeshore, enhancing the area's appeal as a destination for
       visitors and residents.
     e Investment: The project represents a $30 million construction effort spanning 31 acres.




The Element Hotel is a key component of the larger Harbor 31 Redevelopment Plan, which aims to
transform the area into a vibrant, mixed-use community. In addition to the hotel, the redevelooment
plan includes:

     e Senior living facilities.
     e Single-family homes.
     e Townhomes and apariments.
     e Office space.




The project is expected to:
      Begin construction in February 2025 and conclude in April 2026.
      Create approximately 50 permanent jobs upon completion, enhancing the local workforce.
      Generate approximately 225 construction jobs during the development phase.
      Revitalize Underutilized property along the Lakeshore


Goal/Focus Area/Action Item Addressed:

Key Focus Areas:
Progress toward completion of ongoing economic development projects

Goal/Action ltem:
2027 Goal 2: Economic Development Housing and Business

Amount Requested:                                  Budgeted Item:
N/A                                                 Yes            No           N/A a
Fund(s) or Account(s):         .                    Budget Amendment Needed:
N/A                                                 Yes            No           N/A ||
Recommended Motion:
| move to close the public hearing and approve the request from Lakeshore Hotel Partners, LLC, to
establish a Commercial Redevelopment District at 181 Viridian Drive and authorize the Mayor and
City Clerk to sign the attached resolution.

Approvals:                                          Guest(s) Invited / Presenting:
 Immediate Division
 Head                                                 No
 Information
 Technology

 Other Division Heads

 Communication

 Legal Review
                               Resolution No. 2025-08(A)


    RESOLUTION APPROVING THE ESTABLISHMENT OF A COMMERCIAL
                             REDEVELOPMENT DISTRICT
                                   181 Viridian Drive.


WHEREAS, pursuant to PA 255 of 1978, the City of Muskegon has the authority to
establish “Commercial Redevelopment Districts” within the City of Muskegon at request
of a commercial business enterprise or on its own initiative; and

WHEREAS, Lakeshore Hotel Partners, LLC has filed a written request with the clerk of
the City of Muskegon requesting the establishment of the Commercial Redevelopment
District for an area in the vicinity of 181 Viridian Drive located in the City of Muskegon
hereinafter described; and


WHEREAS, the City Commission of the City of Muskegon determined that the district
meets the requirements set forth in section 5 of PA 255 of 1978; and

WHEREAS, written notice has been given by certified mail to all owners of real property
located within the proposed district as required by section 5(3) of PA 255 of 1978; and

WHEREAS, on January 28, 2025, a public hearing was held and all residents and
taxpayers of the City of Muskegon were afforded an opportunity to be heard thereon; and

WHEREAS, the City of Muskegon deems it to be in the public interest of the City of
Muskegon to establish the Commercial Redevelopment District as proposed;

NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Muskegon that the following described parcel(s) of land situated in the City of
Muskegon, County of Muskegon, and State of Michigan, to wit:

MUSKEGON LAKESHORE SMARTZONE UNIT G FIFTH AMEND TO MASTER
DEED L/P 4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO
ELECTRIC EASEMENT RECORD'D L/P 3630/646

Adopted this 28th Day of January, 2025


AYES: St.Clair, Johnson, Kilgo, German, Gorman, and Kochin
NAYS: None
ABSENT: Keener                                                 O)pl dvmch—.
                                                         BY:
                                                               " Ken Jéhnson, Mayor


                                                    ATTEST\_        YWSO~2xr2,
                                                                ~Ann Meisch, Clerk
                                    CERTIFICATION


I hereby certify that the foregoing constitutes a true and complete copy of a resolution
adopted by the Muskegon City Commission of the City of Muskegon, County of
Muskegon, Michigan at a regular meeting held on January 28, 2025.




                                                            Ann Meisch, Clerk

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